Does the Number of Choice Sets Matter? Results from a Web Survey Applying Discrete Choice Experiment

Posted: 12 Jun 2007

See all articles by Mickael Bech

Mickael Bech

University of Southern Denmark, COHERE

Trine Kjaer

University of Southern Denmark - Institute of Public Health - Health Economics

Jorgen Lauridsen

Centre of Health Economics Research, Department of Business and Economics; University of Southern Denmark - Department of Business and Economics

Date Written: March 2007

Abstract

Optimising the design of discrete choice experiments (DCE) is not only a question of how to maximise the a priori parameter efficiency, but should also be concerned with how the nature and complexity of the experiment itself affects model parameters and variance, and hence the outputs such as WTP estimates. The objective of this study was to investigate the impact of the number of DCE choice sets presented to respondents. In order to study behavioural response to the number of choice sets, respondents were given 5, 9 or 17 choice sets in a DCE that elicited preferences for dental services. The results showed no differences between the groups with respect to response rate. No systematic differences were observed in respondents' perception of the uncertainty of their answers. There were some differences in the WTP estimates across the three survey versions, but no differences in standard deviations for WTP estimates or goodness-of-fit statistics. Heteroscedastic conditional logit models revealed somewhat higher variance for the group of respondents who received 17 choice sets compared to those receiving 5 choice sets. This may indicate that respondent cognitive burden increases with the number of choice sets beyond a certain threshold.

Keywords: discrete choice experiments, design properties, design of designs, willingness-to-pay, number of choice sets

JEL Classification: C91, D6, I3

Suggested Citation

Bech, Mickael and Kjaer, Trine and Lauridsen, Jorgen and Lauridsen, Jorgen, Does the Number of Choice Sets Matter? Results from a Web Survey Applying Discrete Choice Experiment (March 2007). iHEA 2007 6th World Congress: Explorations in Health Economics Paper, Available at SSRN: https://ssrn.com/abstract=993029

Mickael Bech

University of Southern Denmark, COHERE ( email )

Campusvej 55
Odense M, 5230
Denmark
+45 6550 4234 (Phone)

Trine Kjaer (Contact Author)

University of Southern Denmark - Institute of Public Health - Health Economics ( email )

J. B. Winsløwsvej 9B, 1.
Odense, 5000 C
Denmark
+4565504085 (Phone)
+4565503880 (Fax)

Jorgen Lauridsen

Centre of Health Economics Research, Department of Business and Economics ( email )

Faculty of Social Sciences
Campusvej 55
DK-5230 Odense M
Denmark

University of Southern Denmark - Department of Business and Economics ( email )

DK-5230 Odense
Denmark

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